AfrElec: South Africa's president signs Electricity Regulation Amendment Act into law

South Africa’s President Cyril Ramaphosa has signed the Electricity Regulation Amendment (ERA) Act into law. The new legislation sets out far-reaching reforms in the country’s electricity sector. These include the creation of a competitive electricity market, the Presidency said in a press statement published by SA News.

The new bill, which amends the Electricity Regulation Act of 2006, aims to reduce energy costs, provide national energy security, and improve energy infrastructure. It includes provisions for opening the existing electricity market dominated by South Africa’s state-owned power utility Eskom.

The ERA bill specifies that an independent Transmission System Operator (TSO) must be formed within five years to manage the national grid, with the established National Transmission Company of South Africa (NTCSA) serving as the interim TSO.

According to the Presidency, the Act provides for market operation as a new activity that may be licensed by the National Energy Regulator of South Africa (NERSA).

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